The agreement ensures Mountain Milk’s founding farmers achieve a fair and competitive farm gate price.
Freedom Foods Group and Mountain Milk Co-operative have planned to work together to form a new supply arrangement for milk from north-east Victoria, benefiting the group’s Shepparton plant.
Victoria’s newest dairy co-op, which was formed earlier this year, will initially provide 20 million litres of milk per annum to Freedom Foods’ plant in Shepparton.
Milk supplied to Freedom Foods under the partnership agreement could increase to 30million litres within six months, and further as production rises.
The agreement ensures Mountain Milk’s founding farmers achieve a fair and competitive farm gate price, strengthening their ability to continue to develop and invest in their businesses. The agreement is expected to take effect in mid-2018.
Freedom Foods managing director and chief executive officer Rory Macleod pointed out that this is an inspiring partnership with huge potential and will provide Freedom Foods with premium milk from one of Australia’s most efficient and historic dairy regions.
